Outcome of Monitoring Committee Meeting held on 29.05.2025, for approval of 2nd Quarter and Half Year ended 30.09.2023 Unaudited standalone & Consolidated Financial Results with Limited Review Report.
Awaiting price reaction for this filing.
Birla Cotsyn (India) Limited, a company currently under liquidation, had its Monitoring Committee approve a large backlog of unaudited and audited financial results covering FY2018-19 through Q3 FY2024-25, including the Q2/H1 FY24 results. The NCLT Mumbai Bench approved the Composite Scheme of Compromise and Arrangement on 09.01.2025 (uploaded 14.01.2025), enabling the company to prepare financials on a going-concern basis. The Monitoring Committee also approved a working capital infusion of INR 3 Crores under the scheme and decided to file an application before NCLT against demands raised by MIDC, NSDL, CDSL, and BSE for periods during CIRP/Liquidation when they had not submitted claims. For Q2 FY24 (standalone), the company reported zero revenue from operations, total expenses of INR 177.43 lakhs (mainly depreciation of INR 161.94 lakhs), and a loss after tax of INR 177.43 lakhs, while the consolidated H1 FY24 loss widened to INR 350.47 lakhs versus INR 242.04 lakhs in H1 FY23.
Shareholders should note that the company is exiting liquidation via the NCLT-approved compromise scheme with a new acquirer and a INR 3 Crore working-capital infusion, which could revive operations. However, equity remains deeply negative (standalone other equity of INR -65,427.85 lakhs), short-term borrowings of INR 17,206.78 lakhs remain unpaid, and the company continues to report losses with negative operating cash flow, meaning revival prospects carry significant execution and legal risk.